Sears makes more money from their financial service charges on their charge cards than they make from all their merchandising sales. They do not like those of us who pay off the card every month. When we pay off our cards every month they are not making the money from us they are making from others who carry a balance. In effect, they're giving us an interest-free loan. From us they are only making the profit from the merchandise minus the time value of money for the period until the balance is paid. That's why they are not real happy to increase the credit limits on our cards.

When you make 15% or more on all the cards carrying a balance you can afford to lose a few once in a while. Hence, they are real happy to extend the limits on cards owned by people who carry big balances.